L1 Group opens IPO for L1 Gold Fund, locks commitments for $900m raise
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The news: Investment manager L1 Group has announced the opening of its L1 Gold Fund IPO, with commitments in place for a $900 million raise.
The numbers: The new investment company is expected to be listed and commence trading on the ASX on 24 April under the ticket ‘LGF’.
The founders of L1 Capital Mark Landau and Raphael Lamm have committed to a minimum investment of $120 million into L1 Gold Fund. The company said the “vast majority” of unitholders in its existing, unlisted Wholesale Gold Fund have elected to rollover their investment into the new company.
L1 Group expects to earn a performance fee upon the closure of its Wholesale Gold Fund, which is set to “more than offset” $20 million in costs for the offering.
From 24 April, L1 Group is entitled to receive a management fee of 1% per year of the value of L1 Gold Fund’s portfolio, and a performance fee of 20% of the portfolio’s outperformance assessed over each six-month period.
The context: L1 Gold Fund will invest in domestic and international gold sector securities, as well as a secondary allocation in other precious metals.
It will largely replicate the investment strategy used for L1 Group’s Wholesale Gold Fund, launched in March 2025.
The offering was led by E&P Capital and Canaccord Genuity as joint lead arrangers and joint lead managers.
Morgans Financial, NAB, Ord Minnett, Taylor Collison and Commonwealth Securities were joint lead managers. Bell Potter, Euroz Hartleys and Shaw and Partners were co-managers.
Corrs Chambers Westgarth acted as legal adviser to L1 Group.
The source: ASX
